Computer game cartridges produced in EconomyLand sell for $50 each. The same cartridges made in MarketLand sell for $100 each. If free trade were allowed, we would expect the prices in both countries to a. move to the lower price of $50. b. move to the higher price of $100. c. converge to somewhere between $50 and $100. d. remain unchanged.

Solomon chemical company makes three products, b7, k6, and x9, which are joint products from the same materials. in a standard batch of 320,000 pounds of raw materials, the company generates 70,000 pounds of b7, 150,000 pounds of k6, and 100,000 pounds of x9. a standard batch costs $3,840,000 to produce. the sales prices per pound are $10, $14, and $20 for b7, k6, and x9, respectively. (a) allocate the joint product cost among the three final products using weight as the allocation base. (b) allocate the joint product cost among the three final products using market value as the allocation base. (c) allocate the joint product cost among the three final products using weight as the allocation base.